Sibanye’s SA PGM Operations Generate Strong Cash as Higher Prices Lift Margins

[SMM Flash] Sibanye-Stillwater has secured 835MW of renewable electricity capacity through agreements with independent power producers as it continues to increase renewable energy supply to its South African mining operations. The portfolio comprises 43% solar and 57% wind capacity, with 164MW already in commercial operation and a further 671MW agreed and under construction. The portfolio includes the operational 89MW Castle wind farm and 75MW Springbok solar project, while the 103MW Witberg and 140MW Umsinde wind farms are expected to come online around Q4 2026. Additional capacity includes 220MW from the Etana Energy portfolio, 138MW from the NOA portfolio and 70MW through Africa GreenCo, with these projects scheduled for 2027–28. The investment highlights the growing role of renewable power in reducing the mining sector's exposure to grid constraints and conventional electricity supply. Sibanye noted that renewables are expected to provide more than half of South Africa's energy needs by 2028. The company's 835MW portfolio is comparable to the capacity of a large conventional power-generation unit, while being developed through a diversified pipeline of solar and wind projects.

[SMM Flash] Sibanye-Stillwater’s recycling operations delivered strong earnings and cash generation in the first half of 2026, supported by higher recycled volumes and an expanded regional supply chain. The business recycled and sold 2.8 million oz of precious metals, up 142% year on year, including 195,000 oz of 5E PGMs, 95,000 oz of gold and 2.5 million oz of silver. Adjusted EBITDA reached US$103 million (R1.7 billion), up 11% year on year and 536% excluding the Section 45X tax credit recorded in the prior-year period. Notional free cash flow stood at US$164 million (R2.7 billion), with a 63% adjusted EBITDA conversion rate. Feed volumes also increased significantly, with the Pennsylvania site's volumes more than doubling to 2.2 million oz while the North Carolina acquisition contributed a further 0.5 million oz. The results highlight the growing contribution of recycling as a source of secondary PGM supply, while providing Sibanye with a capital-light earnings stream. The company's US recycling platform processed material containing platinum, palladium, iridium and ruthenium alongside gold, silver and copper, strengthening its exposure to diversified precious-metal flows.